SINGAPORE: Spot gold still targets its Sept. 28 low of $1,613.60 per ounce, as suggested by a pennant.

The pattern has been confirmed, indicating a target around $1,580.

The bounce on Thursday is classified as a pullback towards the pennant.

With the pullback having almost been reversed, gold is poised to fall below $1,613.60.

Resistance is at $1,629, a break above which may lead to a gain limited to $1,641.

On the daily chart, the downtrend remains firm within a falling channel, which suggests a target of $1,536.

A projection analysis reveals a support at $1,611, near $1,614 (hourly chart).

This support triggered a decent bounce on Sept. 28.

Gold jumps 1% as dollar slides

Chances are it may cause a much weaker one when the metal arrives.

At least this support may become a key battlefield between bulls and bears, with an intense fight is likely to break out.